WASHINGTON (dpa-AFX) - Varian Medical Systems (VAR) Wednesday reported a decline in profit for the first quarter of fiscal 2012. Net earnings was $90.2 million or $0.79 per share, down from $96.5 million or $0.80 per share in the year-ago quarter. The earnings, though, was able to beat analysts' estimates. On average, 13 analysts polled by Thomson Reuters expected the company to earn $0.75 per share for the quarter. The company's total revenues increased 8 percent to $625.3 million from last year's $579.9 million. However, the revenues were less than the $633.26 million expected by analysts. Oncology Systems revenue contributed a major share to the total revenues, yielding $488 million, followed by X-Ray products revenues of $113 million. Oncology systems revenues increased 8 percent and X-Ray product revenues increased 1 percent from the year-ago quarter. Tim Guertin, president and CEO, said,' As anticipated, the gross margin was impacted by a tough year-ago comparison, product mix, and accounting for Scripps proton revenue with zero margin. Additionally our operating margin was impacted by the dilutive effects of the Calypso acquisition.' Including $48 million in proton therapy backlog, the company ended the first quarter with a $2.5 billion backlog, up 14 percent from the end of the first quarter in fiscal 2011. The company said that it expects annual revenues to grow 10 percent and earnings per share to rise by 15 percent for the fiscal 2012. For the second quarter of fiscal 2012, the company expects revenue to increase by 8 percent and earnings per share to increase by 12 to 13 percent from the year-ago quarter.
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